The pair closed in NY Tuesday at $1.4869 after recovering off an extended low/fresh 2013 low (after breaking $1.4832) of $1.4814. Euro-dollar sales led the move lower in NY, the move prompted by Asmussen comments suggesting ECB timeframe of easier rates would last more than 12 months (though later backtracked), the reaction weighing back on euro-sterling (extending the cross pullback from earlier highs of stg0.8669 to stg0.8586) which provided cable with some buoyancy and allowed for the late session upside correction. Cable extended this recovery to $1.4874 in opening Asian trade before getting pressed lower again, the move down this time prompted by the release of weaker than expected China trade data (exports falling 3.1% in June vs expected +3.0%), with sales taking it to an overnight low of $1.4845. Recovery through the Asian afternoon saw rate push up to session highs of $1.4878 but again was seen meeting decent supply placed around $1.4880 (resistance here seen after rate initially recovered off the retest of $1.4832 Tuesday). However, rate retains a firm tone into Europe, currently trading around $1.4875. Euro-sterling recovered to stg0.8606 in early Asia before retesting that base into Europe.
